Algoma Steel Group earnings drop for second straight quarter, production rebounding

SAULT STE. MARIE, Ont. – Algoma Steel Group reported a net loss of $69.8 million in its latest financial quarter compared with earnings of $123 million during the same period a year earlier.

Earnings per diluted share were 64 cents, down from 92 cents a year earlier.

The Sault Ste. Marie, Ont.-based steel producer says revenue for the third quarter ended Dec. 31 was $567.8 million, down from $1.06 billion a year earlier, a decrease of almost 47 per cent.

This is the second quarter in a row that Algoma has reported significant decreases in earnings and revenue.

Steel prices fell in 2022 as a result of lower demand, weighing on the sector.

CEO Michael Garcia said he was disappointed in production and shipment levels over the past two quarters, but said the company is now returning to normal production levels.

This report by The Canadian Press was first published Feb. 13, 2023.

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